4 Keys Reasons Homes Should Be Listed At The Right Price, From The Start

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As a Licensed Real Estate Salesperson, in the State of New York, I am often asked questions about home prices, what someone's house might sell for, etc. Nearly every day, I observe some homes listed on the market, at prices that I strongly feel, are doing a disservice to the homeowner, and wonder why a certain number / price was chosen. Sometimes, it is because a homeowner claims the house to be priced / listed at that number, while at other times, certain agents, in the zest and enthusiasm to obtain a listing, may be communicating an overly optimistic prediction. In either case, or for any other reason, the reality is generally, houses listed at the correct price, from the start, not only have the best chance of selling, but getting the best possible price. Some say, how can that be, because they believe that if one lists it at a higher price, that will ensure receiving more. However, since, in the vast majority of cases, the best price someone gets is within the first few weeks, inflating that opening listing position, does quite the opposite! Let's exam 4 reasons homes should be listed at the right price, from the start.

1. Best offers usually come in first few weeks: Newly listed homes are often referred to as hot properties, because they have not been Mulled over by potential buyers, over and over again. Many begin their search on the Internet, and then, pay more attention to new listings. How one prices the home often determines how many will come, to view it, and then, a more realistic pricing will often attract more qualified buyers. To a large degree, this process is somewhat of a numbers game, and the more viewers, the more possibilities of qualified offers. Greed is not the friend, and often the enemy of getting it sold!

2. Cold versus hot properties – perception: Because of the Internet, it is rather simple for everyone to know how long a particular property has been on the market. Many ask if it might make sense to begin with ambitious pricing, and then come down in price, if it does not move! My answer is, in my opinion, in most cases, this is not a wise course of action. Buyers are attracted to hot properties, those fresh to the marketplace. When the optimal formula is used, it transforms the greatest opportunity, to the cold property – perception.

3. Opportunity cost of money: How much does it cost you to maintain your home, every month? Include mortgage interest and principal, escrow, and taxes, as well as utilities, maintenance, etc. Every month you delay costs you this amount of money, so does not it make more sense, to price your house, to sell, from the start?

4. Hassle / wasted time: I believe that most homeowners want three things: best possible price; least amount of time; and the minimum of hassle! Only when one uses smart approaches to determining and pricing, will these have the best chance of success!

If your goal is to get as much as your house will fetch, list the home at the proper price, from the start! Remember, the only thing that counts is what it sells for, not what it lists for!

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Source by Richard Brody

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